Feerer v. Amoco Production Co.

BRORBY, Circuit Judge.

This appeal involves a dispute arising after settlement of class action litigation pertaining to the payment of royalties on carbon dioxide (C02) produced in New Mexico and sold in West Texas oil fields for use in enhanced oil recovery projects. Pursuant to a settlement agreement, Defendants/ working interest owners assumed all post-production costs associated with compression, dehydration and gathering, marketing fees, and part of the transportation costs, thus increasing the .royalties to be paid to the Plaintiffs/ royalty interest owners. When making royalty payments…